Constructing apartments is not as easy as selling pickles on the streets. Without understanding this, many people have now turned into builders. In case of availability of adequate land, they are confident about constructing the apartments with the help of masons. Some doctors even put the practice aside and ventured into the field of construction. With huge cash reserves, many entrepreneurs have ventured into the field to build multi-storey buildings. Along with these, masons, realty agents, channel partners, landlords, teachers, retired bankers, government employees and many more, have entered the construction sector with hopes to make easy money.
Just like now, people from various sectors entered the real estate market during 2005-08 and destroyed the market. They also ruined their lives and subsequently vanished from limelight. Such people have returned to the construction sector once again. Due to their reckless strategies for easy money, the market is now leading into chaos. In the event of further adverse conditions, all of them will slowly exit the market. Many developers are of the opinion that this scrap will gradually move away from the market. Only a handful of people with strong will and intelligent plans to overcome the hurdles, will stand in the market. Thereafter, the realty market is expected to recover.
But the difference between the situation of a decade ago and the present is that the developers did not collect any advance amount from the buyers as against 100 percent of a property being collected in advance. Slowly, the money was diverted and used by some developers to spend it for leading a lavish life. This is exactly what the developers of Delhi-NCR region had done in the past. Some realtors got accustomed to free money and hence, are collecting amounts from buyers, but are not bothered to complete the construction. Hence, the buyers should keep monitoring the construction quality and progress of works at regular intervals.
